Can LINK/BAND predict BAND dips, then uptrend?
Recently it was brought to my attention how well LINK and BAND have come to be closely been correlated over the past few months). However, I have begun to notice an interesting wedge that has some particular peculiarities.
For those who have not heard of LINK and BAND, Chainlink (LINK) and the Band Protocol (BAND) were both created in 2017 and are the two of the most well-known blockchain based oracle providers. For those who do not know what a "blockchain based oracle provider" is, it is roughly a means for cryptocurrency smart contracts to come to consensus in order to securely use reliable external data via APIs (I recommend a quick google search for a more thorough explanation). Chainlink was the first major oracle network to launch and is more widely used, but Band Protocol is the second largest and has branded itself as a cheaper, faster competitor in this space.
As for the chart, as one can see, when one charts out LINKUSD / BANDUSD , an interesting wedge appears to have formed. Of particular interest, whenever the price of LINK has extended upward out of the wedge in this relationship (particularly during downtrends for bitcoin ), it has often indicated a dip in BAND that later triggers a reversal uptrend.
As to whether this relationship continues is anyone's guess. I should especially note that since this pattern has also formed an ascending triangle , there is also the possibility that LINK might be "winning" in this relationship and this is indeed a breakout. This could hold especially true as well since Chainlink is built upon the Ethereum blockchain (ETH) which has recently been seeing historical highs, whereas Band Protocol is built on top of the Cosmos blockchain (ATOM). Hence, there is a good possibility as well that this "BAND trend" may be coming to an end.
As always, this is solely my opinion and not at all meant as financial advice, but an interesting pattern nonetheless so please like or comment if you agree or have any opinions/facts that differ from the above.
For those who have not heard of LINK and BAND, Chainlink (LINK) and the Band Protocol (BAND) were both created in 2017 and are the two of the most well-known blockchain based oracle providers. For those who do not know what a "blockchain based oracle provider" is, it is roughly a means for cryptocurrency smart contracts to come to consensus in order to securely use reliable external data via APIs (I recommend a quick google search for a more thorough explanation). Chainlink was the first major oracle network to launch and is more widely used, but Band Protocol is the second largest and has branded itself as a cheaper, faster competitor in this space.
As for the chart, as one can see, when one charts out LINKUSD / BANDUSD , an interesting wedge appears to have formed. Of particular interest, whenever the price of LINK has extended upward out of the wedge in this relationship (particularly during downtrends for bitcoin ), it has often indicated a dip in BAND that later triggers a reversal uptrend.
As to whether this relationship continues is anyone's guess. I should especially note that since this pattern has also formed an ascending triangle , there is also the possibility that LINK might be "winning" in this relationship and this is indeed a breakout. This could hold especially true as well since Chainlink is built upon the Ethereum blockchain (ETH) which has recently been seeing historical highs, whereas Band Protocol is built on top of the Cosmos blockchain (ATOM). Hence, there is a good possibility as well that this "BAND trend" may be coming to an end.
As always, this is solely my opinion and not at all meant as financial advice, but an interesting pattern nonetheless so please like or comment if you agree or have any opinions/facts that differ from the above.
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